Shareholders are often the subject of disputes with public companies that they invest in. This is because those companies sometimes do not do the right thing to help grow out the investor wealth like they are supposed to. Did you know for example that there is an actual legal responsibility for those who take investments to work to help make that money grow? They are literally bound by the law to do this kind of work. However, many people do not realize this and wrongfully assume that whatever happens to their investment is just what they have to live with.
In the event that your money gets tied up in something that was pitched to you in a fraudulent manner, you may well have recourse through the law to seek out monetary damages for what has happened. This is not you somehow manipulating the law or causing any kind of problem, it is just a simple matter of using the laws as they are already written to try to get some results for yourself. There is absolutely nothing wrong with that.
Who Gets Sued?
Often these types of cases are class action lawsuits in which a group of shareholders band together to protect their rights and the rights of their fellow shareholder. They do this so that they are never again subjected to the very real possibility of the same public company hurting them once again.
A class action lawsuit can actually be a very powerful thing because it brings so many voices together for one common cause, and that is quite powerful. Juries may look at the various stories that are brought before the court when a case like this is heard and may then decide that those who are bringing the case do in fact have a pretty good point to make. It may help to push things more in the right direction for the people who have brought the lawsuit in the first place.
What Constitutes Something Worth Suing Over?
Companies do shady things all the time, even if they are public companies that trade shares on the open stock markets. As such, you might end up getting caught in the middle of some of this business and have to take your own recourse to get back monies that you have lost to someone who has been taking you for a ride. If you feel that you have been sold a bill of goods as it were, there may be a case to be had.
You will have to prove in a court of law that the actions taken by members in power at the company that you are suing had a direct impact on the value of the asset that you have purchased (most often a stock). You will also need to show that those actions were taken deliberately and without the best interests of the shareholders in mind. It is actually a pretty high bar to get over, but you have to do what you can to protect your own rights. The minute that you give up an inch on this is when you start to have issues overall.
Generating Extra Fees
Another area of the law that may pertain to your shareholder’s rights lawsuit is something that happens when a stockbroker convinces a client to make far more stock trades than necessary. They may feel the need to do this because they earn a commission on those trades. Thus, their personal financial future depends upon their clients making a lot of trades. It is something that happens somewhat frequently. Luckily, clients can take a stockbroker to court over this illegal activity and hopefully they will win back the money that they lost to the broker racking up fees.
The Need For An Attorney
With a matter as complex as securities law, there is no question that a competent attorney is what is called for here. They are the only ones who likely have the skills necessary to be able to explain out all of the complicated jargon that goes along with securities law in the first place. You will definitely be pleased with yourself for hiring such an attorney if that is what you decide to do. They are more than competent at what they do so long as you shop around and find a good one.
When there is this much on the line with one particular case, there is no question that you need someone who knows what they are talking about. If you find that person, hire them right away so that they may begin to work on your case and get you the kind of results that you have been longing for ever since you went looking for an attorney in the first place. Speak with them about what they can do, your expectations, and any matter relevant to the case that they are about to bring before a jury for you.